Question: Please solve using Excel Funcations (Please show all steps): 1. A share of common stock just paid a dividend of $1.00. If the expected long-run
Please solve using Excel Funcations (Please show all steps):
1. A share of common stock just paid a dividend of $1.00. If the expected long-run growth rate for this stock is 5.4%, and if investors' required rate of return is 11.4%, what is the stock price?
2. A stock will pay a dividend of $1.50 this year. The required rate of return is r = 10.1%, and the constant growth rate is g = 4.0%. What is the current stock price?
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